18 Details That Make a Huge Difference in Cash Flow

Improving cash flow substantially enables sustainable growth.

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There are 18 tactics contractors can use to improve cash flow at the project and the company level. Capital is one of the 3 basic constraints for any contracting business so continuous improvement of every process related to cash flow enables sustainable growth.

Cash Flow: 18 Details that Make a Huge Difference.
  • Just like improving field productivity there is no single tactic that will make cash flow good forever.  It is important to use the lean principle of Kaizen building a culture, operating rhythms and processes around incrementally improving every detail.
  • Not every tactic will work on every project or with every contractor but taken together these 18 tactics are guaranteed to significantly improve your cash flow.  
  • While the executives and the finance team play a big part in cash flow the majority of the tactics are within the control of the project team and are the direct responsibility of the Project Manager.

We are revamping our publicly available cash flow workshop that includes these 18 tactics that contractors can use to accelerate cash flow. Stay informed of updates on release. 


18 Details That Make a Huge Difference in Cash Flow
Great cash flow is a key driver of valuation and successful successions. Running out of cash is is the #1 reason contractors fail. Improving cash flow improves your Return on Equity. Protect yourself and never let cash flow be the limitation to your profitable growth....

18 Details That Make a Huge Difference in Cash Flow
Great cash flow is a key driver of valuation and successful successions. Running out of cash is is the #1 reason contractors fail. Improving cash flow improves your Return on Equity. Protect yourself and never let cash flow be the limitation to your profitable growth....

Trends in Project Delivery and Technology
There are two major interrelated trends in the construction industry that are changing the way projects are delivered.
Field Productivity - Talent Differentiation
Contractors can improve their field productivity significantly just through deliberate talent management processes. While the process of continuous forced differentiation seems harsh it is actually the kindest thing you can do for everyone on the team.
Headcount, Stages of Contractor Growth, and Growth Inflection Points
Every contractor will navigate very predictable stages of growth. Each of these represents about a tripling of headcount and requires different leadership focus, strategies, structures, and systems. Stress and failure points are also very predictable.